Which of the Following Answers Best Explains How the Marketfor

question 81

Multiple Choice

Which of the following answers best explains how the marketfor tradeable allowances in pollution works?

• A)Firms are given a particular dollar subsidy value to clean up pollution, and they can trade these subsidies between
• Themselves if they fall below or surpass the limits.
• B)Firms are taxed a particular percentage rate according to how much they pollute, and they can trade the pollutants to
• Reduce the effective tax rates they pay.
• C)Firms are required to stick to particular production levels, and if they go beyond these production levels, they are
• Charged a percentage of their profits.
• D)Firms are given a particular allowance amount of pollutants and if they fall below or surpass these targets they can trade
• Their available allowances with other firms.(True Answer
• )Correct

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Definitions:

Indian Wars

A series of conflicts between European settlers/colonists and Native American tribes over land rights and sovereignty, spanning several centuries in North America.

Treaty of Paris

The 1783 agreement that ended the Revolutionary War, recognizing American independence from Britain. Additionally, a treaty by the same name ended the Spanish-American War in 1898.

Puerto Rico

A Caribbean island and unincorporated U.S. territory with a unique culture that blends Indigenous, African, and Spanish influences.

Official Possession

The state of legally holding or owning something recognized by government or authoritative bodies.